Vilnius Regional Administrative Court ruled on Monday that Vilnius Municipality was in line with the Law on Assemblies and added that state institutions have a prerogative to choose locations for marking official holidays.
Around 900 people took part in the rally on March 11 last year. Holding tricolors, the crowd marched through Gedimino Avenue, chanting slogans and singing patriotic songs. Human rights advocates criticized the event because one of the slogans was "Lithuania for Lithuanians" and because of a noticeable presence of skinheads.
The nationalist march in 2008 sparked major controversy over anti-Semitic chants.
Lithuania marks the Day of Restoration of Independence on March 11.
